Stock fact sheet · data as of
OSI Systems, Inc. (OSIS): fair value, margin of safety and Wheel Score
Ticker symbol OSIS · Technology · Hardware, Equipment & Parts · United States · Blend
Is OSIS undervalued?
At 202.92 (close of 5 Nov 2026), OSIS trades 27% under the GLS average fair value of 278.28. 4 of the 8 models that produced a value land above the price. A discount of this size counts as a positive margin of safety in every GLS scan; whether it is enough depends on the rest of the picture - the health score, the moat and the option premium below.
The 8 models disagree widely: DCF gives 88.02 while Payback Time gives 595.96. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
Ranked against every other company we cover, neither cheapness nor growth clearly wins for OSIS, so the nightly engine files it under Blend (value score 37, growth score 52, out of 100).
Nine valuation models for OSIS
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 88.02 | -57% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 105.17 | -48% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 353.92 | +74% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 138.55 | -32% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 438.48 | +116% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 395.24 | +95% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 595.96 | +194% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | - | - | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend; no value tonight |
| EPV | 110.93 | -45% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -3.67 | -102% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 269.50 | +33% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is average - OSIS passes 6 of the nine Piotroski tests, which passes the "Piotroski 6 or more" Wheel Trade Filter. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is 6.5 out of 10: a record that is solid on some of the four parts the score weighs (returns on capital, pricing power, lasting growth, balance sheet) and weaker on others.
Returns on capital are moderate - ROIC 8.4%, ROE 18.6%, ROA 6.2% - with debt at 1.20 times equity and a free-cash-flow yield of 8.4%.
OSI Systems, Inc. pays no dividend, so the DDM model does not apply and a covered-call holder earns only the premium and any price gain. Revenue comes mainly from Product 72%, Service 28% (quarter Q1 FY2027).
Institutional ownership scores 10/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 6 / 9 | ROIC | 8.4% |
|---|---|---|---|
| GLS Moat | 6.5 / 10 | ROE | 18.6% |
| Debt / equity | 1.20 | ROA | 6.2% |
| Free-cash-flow yield | 8.4% | Payout ratio | 0% |
| Institutions | 10 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 48: Weak
OSIS scores 48 out of 100 on the Wheel Score, in the Weak band (under 50): it fails filter 5, can repay its debt - 3.6 years to repay its debt (over 3), and the parts are thin too - value strong, premium strong, moat good, health good, red flags fair, option trading fair, stability fair. The score is not a judgement on the company; it says the price, quality and premium do not line up for selling puts on it today.
Implied volatility is 33% on the near-the-money contracts 20-60 days out: enough to pass the 25-80% Wheel Trade Filter, but under the 35-60% sweet spot the score rewards most. Chain open interest is 10,105 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 178k shares a day on a market cap of $3.2B, with a beta of 1.26 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score rates that fair.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Passes | Listed options with 1,000+ contracts of open interest and 100+ traded a day |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Passes | Trading below the nine-model average fair value (margin of safety above 0) |
| 4 | Financially healthy | Passes | Piotroski F-score 6 or more out of 9 (a company with no score on file passes) |
| 5 | Can repay its debt | Fails | 3.6 years to repay its debt (over 3) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Passes | Implied volatility 25-80% (enough premium, not a lottery ticket) |
| 8 | Big enough | Passes | Market cap $1 billion or more |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Strong | 27% below fair value | |
| Premium | Strong | implied volatility 33% | |
| Moat | Good | moat 6.5/10 | |
| Health | Good | Piotroski 6/9 | |
| Red Flags | Fair | Red Flags score 70/100 | |
| Option trading | Fair | 3,689 contracts a day, 10,105 open interest | |
| Stability | Fair | beta 1.26, $3.2B company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 28 Jan 2027, 84 days away - outside the window of a 30-45-day put sold today.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Hardware, Equipment & Parts
The 12 companies below are the closest to OSI Systems, Inc. by market cap within the Hardware, Equipment & Parts industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| KN Knowles Corporation | 33.70 | 21.28 | -58% | 38Weak | $2.9B |
| VSH Vishay Intertechnology, Inc. | 25.84 | 18.80 | -37% | 36Weak | $3.7B |
| BELFB Bel Fuse Inc. | 217.43 | 112.91 | -93% | 37Weak | $2.7B |
| BELFA Bel Fuse Inc. | 174.19 | 98.60 | -77% | 20No options | $2.6B |
| OLED Universal Display Corporation | 89.57 | 81.94 | -9% | 37Weak | $4.0B |
| BHE Benchmark Electronics, Inc. | 65.26 | 34.97 | -87% | 36Weak | $2.3B |
| ROG Rogers Corporation | 128.70 | 83.55 | -54% | 39Weak | $2.3B |
| ITRI Itron, Inc. | 101.60 | 172.59 | +41% | 82Good | $4.5B |
| VNT Vontier Corporation | 37.58 | 42.65 | +12% | 47Weak | $5.1B |
| NOVT Novanta Inc. | 145.23 | 40.22 | -261% | 37Weak | $5.5B |
| PLXS Plexus Corp. | 206.72 | 92.81 | -123% | 38Weak | $5.5B |
| CTS CTS Corporation | 61.91 | 49.30 | -26% | 40Weak | $1.8B |
Scan the whole market the same way
A free GLS Equity account gets you nightly fair value and the Wheel Score on ~7,400 US stocks, a watchlist, the scanner preview and the Sunday Scan - the top 10 stocks that pass all 9 Wheel Trade Filters, emailed every week. Pro adds the full put and call scanners, unlimited watchlists with alerts and the trade journal.
Start free See the Sunday ScanQuestions about OSIS
Is OSIS undervalued right now?
By the GLS models, moderately: at 202.92 the stock trades 27% below the average fair value of 278.28 (data as of 5 Nov 2026).
What is the Wheel Score of OSIS and what does it mean?
OSIS scores 48 out of 100 (Weak) - it fails Wheel Trade Filter 5. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for OSIS?
278.28 per share as of 5 Nov 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does OSI Systems, Inc. report earnings next?
The next earnings report is due on 28 Jan 2027, 84 days from the data date of 5 Nov 2026. The Calendars page lists every upcoming report with its time of day.
Does OSIS have listed options, and how liquid are they?
Yes. The nightly snapshot found 142 listed contracts with 10,105 open interest across all expiries and implied volatility of 33% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.